Elon Musk to visit India on this date; meeting with PM Modi confirmed
Billionaire executive Elon Musk has confirmed his upcoming visit to India, where he is anticipated to announce Tesla’s plans for the Indian market.
Elon Musk’s Visit and Meeting with PM Modi
Elon Musk, the CEO of Tesla, has confirmed that he will be visiting India later this month. During his visit, which is expected to take place around April 22, Musk will announce Tesla’s plans for the future in India. He expressed his anticipation to meet Prime Minister Narendra Modi.
Elon Musk tweets on X ( Twitter ):
Looking forward to meeting with Prime Minister @NarendraModi in India!
— Elon Musk (@elonmusk) April 10, 2024
Tesla Executives Accompanying Musk
Accompanying Elon Musk on this visit will be other executives from Tesla. Musk described the introduction of Tesla electric vehicles in India as a “natural progression.”
Positive Outlook and Prior Discussions
During Prime Minister Modi’s visit to the United States in June 2023, Musk and Modi had a meeting where Musk revealed his intentions to visit India in 2024. He expressed confidence that Tesla would soon enter the Indian market.
Indian Government’s Policy to Attract Global Players
Shortly after Elon Musk’s visit, the Indian government announced a new policy aimed at attracting major global players like Tesla. This policy includes providing import duty concessions to companies that establish manufacturing plants in India with a minimum investment of USD 500 million.
Boosting EV Manufacturing and Investment
Under this new policy, companies setting up electric vehicle (EV) manufacturing facilities can import limited cars at a 15% customs duty for vehicles priced above $35,000 for a period of five years from approval. Currently, completely built units (CBUs) face 70-100% duty based on the CIF value. The aim of this policy is to boost EV manufacturing in India and attract global investment.
Tesla’s Prior Requests for Duty Reductions
Earlier this year, Tesla approached the Indian government to request duty reductions on its vehicles. Elon Musk had previously stated in 2022 that if Tesla is not allowed to sell and service its cars in India initially, the company will not manufacture its products in the country.
Import Duty Challenges and Potential Manufacturing Unit
In August 2021, Musk highlighted that Tesla may consider setting up a manufacturing unit in India if it first achieves success with imported vehicles in the country. He mentioned that Tesla wanted to launch its vehicles in India, but faced the obstacle of the highest import duties in the world among large countries.
Reuters had reported earlier that Tesla officials are expected to visit India in April to scout sites for a manufacturing plant that would require an investment of about $2 billion.
